The magic of the colors, cursor locating and bliking and so on are inside ANSI escape codes. Any text console capable of handling ANSI codes can use them just printing them out to console (i.e. by means of echo in a bash script or printf() function in C).
Unix terminals support ANSI escape sequences and Windows world used to support them back in old MS-DOS days, but the multibyte console support put an end to this. There is more information here. However there are other ways out of just ANSI sequences printing available on Windows. Moreover if you have Cygwin installed on your Windows maching ANSI codes work just as great as on any Unix terminal.
Many people mention Ncurses library that is the de-facto standard for any gui-like text based applications. What this library does is to hide all the terminal differences (Windows/Unix flavours) to represent the same information as identical as possible across all the platforms, though from my own experience I tell you this is not always true (i.e. typical text window frames change because the especial chars are not available under all character encodings). The counterpart of using ncurses is that it is a complete API and it is much harder to start out with it than simply writing out some ANSI escape sequences for simple things such as change the font color, cleaning screen or moving back the cursor to a random position.
For the sake of completeness I paste an example of use of ANSI sequence under Linux that changes the prompt to blue and shows the date:
PS1="\[\033[34m\][\$(date +%H%M)][\u@\h:\w]$ "